2020 Stimulus Relief Package Due To Coronavirus

The Senate has finally come to an agreement regarding a stimulus package for the American people affected by the Coronavirus pandemic.

Just before midnight on Wednesday the Senate unanimously approved (96-0) a roughly $2.2 trillion stimulus package to address the economic impact of the coronavirus, pushing through one of the largest pieces of legislation in the modern history of Congress as the nation braces for the deepening impact of the outbreak. Monies going to individuals will either be transmitted through direct deposit or mail.

$1,200 checks for millions of Americans: The legislation would give taxpayers $1,200 per adult and $500 per child. The benefit would be smaller for individual taxpayers earning over $75,000 annually (or $150,000 for a couple filing jointly) and disappear altogether for individuals earning over $90,000.

Increase in unemployment insurance benefits: The proposal extends unemployment benefits to people who may not have been fired but are unable to work as a result of coronavirus — because they are sick, quarantined or need to take care of a child forced to stay home from school. The federal benefits will be for four months.

Aid to large businesses, new oversight measures: The legislation does include restrictions on salary increases for executives of firms receiving bailout money, as well as a prohibition on issuing stock buybacks that primarily benefit company shareholders.

Emergency aid for small businesses. The loans convert to grants if used for covering employee salaries, rent, paid leave, utility payments, health insurance premiums or other necessities or worker protections. The legislation includes guardrails aimed at preventing business owners from pocketing the money being lent. Loans given to firms with tipped employees, such as bars and restaurants, could be forgiven if they are used to provide additional wages to their employees. Nonprofits can also apply for these funds.

Payroll tax holiday, other tax changes. The package also delays the payroll taxes typically paid by employers on wages, a cut intended to help firms survive a liquidity crunch.